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12.Commitments
 12 Months Ended
Dec. 31, 2011
Commitments and Contingencies Disclosure [Text Block]
12.
Commitments

Operating Leases

The Company leases office and production facilities and equipment under agreements which expire at various dates through 2018. Certain leases contain renewal provisions and escalating rental clauses and generally require us to pay utilities, insurance, taxes and other operating expenses. Lease expense under operating leases totaled $647,000 and $690,000 in 2011 and 2010, respectively.

The estimated aggregate lease payments under operating leases for each of the five succeeding years is as follows:

Years Ending December 31,
 
Lease
Payment
 
2012
  $ 370,000  
2013
    680,000  
2014
    690,000  
2015
    707,000  
2016
    685,000  
Thereafter
    1,205,000  
Total
  $ 4,337,000  

Capital Leases

In 2009, the Company entered into a $500,000 equipment lease facility with an equipment leasing company.  The terms of that agreement allow for use of the facility in multiple tranches with each individual tranche having a 24 month term.  Additionally, the equipment lease has a collateral obligation whereby the Company has pledged certain equipment located at the Carlsbad, California location to satisfy the equipment leasing company’s requirements.  As of December 31, 2011, the Company had utilized $457,000 of this facility, which has been accounted for as a capital lease.  As of December 31, 2011, there were no remaining amounts outstanding under this facility.

In October 2009, the Company entered into a $1,000,000 equipment lease facility with an equipment leasing company.  The terms of that agreement allow for use of the facility for 24 months and for use of the facility in multiple tranches with each individual tranche having a 24 month term.  As of December 31, 2011, the Company had utilized $743,000 of this facility, which has been accounted for as a capital lease.  As of December 31, 2011, $270,000 remained outstanding under this facility.

As of December 31, 2011 and 2010, property held under current capital leases was as follows:

   
For the Years Ended
 
   
December 31,
 
   
2011
   
2010
 
Broadcast equipment
  $ 711,000     $ 1,023,000  
Other equipment
    148,000       43,000  
      859,000       1,066,000  
Accumulated depreciation
    (439,000 )     (592,000 )
                 
Total
  $ 420,000     $ 474,000  

Total depreciation expense under capital leases was $441,000 and $433,000 for the years ended December 31, 2011 and 2010, respectively.

As of December 31, 2011, future minimum payments under all capital leases are as follows:

Years Ending December 31,
 
Lease
Payment
 
2012
  $ 318,000  
2013
    115,000  
2014
    40,000  
2015
    17,000  
2016
    12,000  
Thereafter
    -  
Total minimum payments
    502,000  
Less amounts representing interest
    (52,000 )
Present value of net minimum payments
    450,000  
Less current portion
    (286,000 )
Long-term capital lease obligations
  $ 164,000  

Note Payable

In July 2011, the Company entered into an equipment financing agreement with a bank in the amount of $123,000, which is recorded in other current liabilities and other liabilities in the accompanying consolidated balance sheet.  The proceeds of the note payable were used to finance certain equipment purchases and other services related to the relocation of the Company’s Carlsbad, California office.  The note payable bears interest at 5.85% and is collateralized by a first priority security interest in the equipment purchased with the proceeds.  The Company will make 36 equal monthly payments in the amount of $3,705, which includes interest, until fully paid in August 2014.  As of December 31, 2011, $110,000 remained outstanding under this financing agreement.